US-based international manufacturer Hayward has confirmed that the proposed acquisition of Israel-based Maytronics has foundered.
Both parties had previously signed a letter of intent and were participating in active negotiations toward a merger agreement. Since the merger was subject to the approval of the Maytronics’ shareholders, Maytronics solicited the early opinion of its major shareholder, Kibbutz Yizrael-Workers Group for Cooperative Settlement Ltd., which holds a majority of the Maytronics voting power. However, the merger proposal was voted down by the general membership of Kibbutz Yizrael.
Robert Davis, President and CEO of Hayward Industries says he is disappointed in the outcome as the merger would have been highly complementary and synergistic to both companies.
Hayward will now look elsewhere to fulfil its strategic aim of adding an energy efficient, high-growth line of robotic pool cleaners to its product range.